New Senior Announces Completion of $640 Million Acquisition of
Independent Living Assets

August 17, 2015 04:56 PM Eastern Daylight Time

NEW YORK--(BUSINESS WIRE)--New Senior Investment Group Inc. (“New Senior” or the “Company”)
(NYSE:SNR) announced today that it completed on August 12, 2015 the
previously announced acquisition of 28 private pay, independent living
properties (the “Portfolio”) from affiliates of Holiday Retirement
(“Holiday”) for $640 million. The Portfolio is 100% private pay,
contains 3,298 units located across 21 states and had an average
occupancy rate of 89.8% for July 2015. The Portfolio will continue to be
operated by Holiday under new property management agreements.

The acquisition of the Portfolio was funded with cash on hand and
proceeds from a fixed rate, 10-year first mortgage loan (the “Loan”).
The Loan, which was obtained from Freddie Mac through Walker & Dunlop,
is secured by the Portfolio. The aggregate amount of the Loan is
approximately $465 million, and the Loan bears interest at a fixed rate
of 4.25%. As a result of the proceeds from the Loan being approximately
$15 million higher than originally expected, the Company intends to pay
down $15 million of existing floating rate debt on September 1, 2015.

“This acquisition further increases our industry-leading private pay
senior housing exposure to 92% of our NOI,” New Senior Chief Executive
Officer Susan Givens said. “As the largest operator of independent
living properties in the United States, Holiday has a strong track
record of outstanding performance for our existing portfolio, and we are
excited to grow our relationship with them. In addition, the financing
further improves our balance sheet by extending the average maturity of
our total debt and increasing our fixed rate debt to approximately 60%
of our total debt.”

ABOUT NEW SENIOR

New Senior is a real estate investment trust focused on investing in
senior housing properties across the United States. The Company is one
of the largest owners of senior housing properties and currently owns
152 properties in 37 states. New Senior is managed by an affiliate of
Fortress Investment Group LLC, a global investment management firm. More
information about New Senior can be found at http://www.newseniorinv.com.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain items in this press release constitute “forward-looking
statements” within the meaning of the Private Securities Litigation
Reform Act of 1995, such as statements regarding the expected pay down
of existing floating rate debt. These statements are not historical
facts. They represent management’s current expectations regarding future
events and are subject to a number of trends and uncertainties, many of
which are beyond our control, that could cause actual results to differ
materially from those described in the forward-looking statements.
Accordingly, you should not place undue reliance on any forward-looking
statements contained herein. For a discussion of some of the risks and
important factors that could affect such forward-looking statements, see
the sections entitled “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” in the
Company’s Annual Report on Form 10-K, which is available on the
Company’s website (www.newseniorinv.com).
New risks and uncertainties emerge from time to time, and it is not
possible for New Senior to predict or assess the impact of every factor
that may cause its actual results to differ from those contained in any
forward-looking statements. Forward-looking statements contained herein
speak only as of the date of this press release, and New Senior
expressly disclaims any obligation to release publicly any updates or
revisions to any forward-looking statements contained herein to reflect
any change in New Senior's expectations with regard thereto or change in
events, conditions or circumstances on which any statement is based.